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Three bidders remain in Hummer auction-sources
April 8, 2009 / 10:39 PM / 9 years ago

Three bidders remain in Hummer auction-sources

NEW YORK, April 8 (Reuters) - Three bidders remain for General Motors Corp’s (GM.N) Hummer brand, two sources with knowledge of the matter said, adding that current offers range from $100 million to $200 million in cash, in addition to other commitments.

None of the bidders are automakers. One bidder is from the United States and the other two are from overseas, the sources said, adding that the bidders include private equity and wealthy individuals

The sources declined to be identified because the details of the auction are not public.

Under the terms being discussed for the Hummer sale, a buyer would take over GM’s liabilities for its 125 U.S. Hummer dealers and commit to further investments in areas such as engineering, marketing and sales, the sources said.

GM’s plant in Shreveport, Louisiana, which makes the Hummer H3, will not be part of the deal, the sources said. Instead, GM will continue making the H3 there and will supply the vehicles to the new owner.

GM has recently hired an engineering firm to prepare an investment plan for future Hummer models to submit to the remaining bidders for their consideration in shaping final proposals, the sources said.

Reporting by Jui Chakravorty; Editing Bernard Orr

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